The Wonder of Mumbai Dabbawallas Inspiration of Management

Introduction

• A dabbawala (one who carries the box), sometimes spelled dabbawalla or dabbawallah, is a person in the Indian city of Mumbai whose job is to carry and deliver freshly made food from home in lunch boxes to office workers.

• The dabbawala originated in 1880, when India was under British rule.

• Mission of the Dabbawalas is “to server their customers on time”

PRESIDENT & GENERAL SECRETARYNUTAN MUMBAI TIFFIN BOX SUPPLIERS ASSOCIATION

Raghunath Medge And Mr. Gangaram Laxman Taleker

What is NMTBSA? (Nutan Mumbai Tiffin Box Suppliers

Association)

• History : Started in 1880• Charitable trust : Registered in 1956• Avg. Literacy Rate : 8th Grade Schooling• Total area coverage : 60 Kms • Employee Strength : 5000• Number of Tiffin's : 2,00,000 Tiffin Boxes i.e. 4,00,000

transactions every day.• Time taken : 3 hrs

ORGANISATIONAL STRUCTURE

PRESIDENT

VICE PRESIDENT

GENERAL SECRETARY

TREASURER

DIRECTORS(19)

MEMBERS(5000)

MUKADAM

Executive Committee(5 members)

Teams of 20-25 headed by a group leader

Individual Dabbawallaworkload = 30 tiffins

1st group –

Rs 125000 - Total earnings - 20 People Rs 35000 - Maintenance cost Tiffin luggage basket pass – Rs 180 per person. Maintenance of cycles – Rs 300 – 2 cycles per month. Maintenance of wooden boxes – Rs 100 per person . T.C, Robbery of Tiffin - Rs 500 yearly. Organizational fees - Rs 15 per head. Puja held per station - Rs 50 per head.

FINANCIAL DATA OF A GROUP

• CodingVLP : Vile Parle (Suburb in Mumbai)

9E12 : Code for Dabbawallas at Destination E : Express Towers(Bldg. Name)

12 : Floor No.

E : Code for Dabbawallas at Residential station.

3 : Code for Destination station (E.g.. Nariman Point)

Journey

10:34-11:20 am

This time period is actually the journey time. The dabbawalas load the wooden crates filled with tiffins onto the luggage or goods compartment in the train.

11:20 – 12:30 pm

•Re-arrangement of tiffins takes place as per the destination area and destination

building

• 1:15 – 2:00 pm• Here on begins the collection process

where the dabbawalas have to pick up the tiffins from the offices where they had delivered almost an hour ago.

• 2:00 – 2:30 pm• The group members meet for the

segregation as per the destination suburb.

RETURN JOURNEY:

• 2:48 – 3:30 pm

• The return journey by train where the group finally meets up after the day’s routine of dispatching and collecting from various destination offices

• 3:30 – 4:00 pm

• This is the stage where the final sorting and dispatch takes place. The group meets up at origin station and they finally sort out the tiffins as per the origin area

Michael Porter's Five Forces Theory at work. 

These are as follows:  Threat of new entrants

 Current competition

 Bargaining power of buyers

Bargaining power of sellers

Threat of a new substitute product or service

Dabbawala Methodology

Operational Motto “Error is horror “

DISCIPLINE: No Alcohol Drinking during business hour Wearing Gandhi Cap during business hours Carry Identity Cards

What we learnt

Supply chain logistics and efficient reverse logistics

The concept of Multi-level coding

Time Management

Customer Relationship Management

Customer Satisfaction

Cost effectiveness

Error Rate: 1 in 16 million transactions

• Six Sigma performance (99.999999)• Technological Backup : Nil.• Cost of Service - Rs. 200/month ($ 4.00/month)• Standard Price for all (Weight, Distance, Space)• Rs. 50 Cr. Turnover approx. [200,000*200 = 400,000,00 p.m. i.e. 48 crore p.a.]• “No strike” record as each one a share holder • Earnings - 5000 to 6000 p.m.

Awards and Felicitation

Forbes Global magazine to award its Six Sigma certification in 2001

ISO and many other certificates

Shri.Varkari Prabhodhan Mahasmati Dindi (palkhi) sohala – 4th march – 2001.

Invitation from CII for conference held in Bangalore.

Documentaries made by BBC ,UTV, MTV, and ZEE TV

Dabbawalla services are popular with the Indian IT developer community in Silicon Valley, California, USA

Some Achievements

• World record in Best Time management.

• Name in “GUINESS BOOK of World Records”.

• Registered with Ripley's “ believe it or not”.

Dabbawalas are mostly invited by• Mahindra & Mahira - Kandivli

( Mumbai ) and Nasik.

• Sandoz Pharmaceuticals - Mumbai.

• Indian School Of Business (ISB) - Hyderabad.

• GE Money Servicing - Hyderabad.

• Microsoft - Gurgoan.

• Genpact - Hyderabad.

• Community of cooked food - Itly.

• Accenture - Mumbai.

• Meetings of Confederation of Indian Industries ( CII).

• Stanfort University delegation to India.

• Symbiosys Management School - Pune.

• Bharat Petroleum Corporation Ltd.

• Global Business School- Nagpur.

• NM Dalmia College - Mumbai.

• National Stock Exchange - Mumbai.

• Reserve Bank Of India.

THE ROYAL VISIT:

• Recently, the dabbawala’s had royal company at Churchgate station. The Prince of Wales himself had visited them when he came down to Mumbai.

• He took keen interest in their way of functioning, expressed surprise at their efficiency and was struck with awe when he was told that they didn’t employ any technology.

• The prince was presented a small memento, accompanied with a garland, a Gandhi topi and a trophy by the dabbawalas.

RICHARD BRANSON CHAIRMAN VIRGIN ATLANTIC AIRWAYS MUMBAI

• Sir Richard Branson, Chairman, Virgin Atlantic Airways, meeting the Mumbai's famed 'Dabbawalas' at their nodal point, the Churchgate Railway Station in South Mumbai, on April 1, 2005.

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THANK YOU

Presented By

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